The Congress of South African Trade Unions (COSATU) welcomes South Africa’s full accession to the African Export-Import Bank (Afreximbank).  Afreximbank is a leading developmental financial institution tasked to promote intra-African trade across the continent.

South Africa’s accession to full membership unlocks $13 billion or over R206 billion in financing for an economy badly needing stimulus to overcome the sluggish 1% growth it has been stuck at for the past two decades.  This will be a massive boost to efforts to reach the 3% economic growth needed to tackle our dangerously high 42.4% unemployment rate.

COSATU applauds the tireless work by the Minister for Trade, Industry and Competition, Mr. Parks Tau, the Ministry and Department to secure this valuable coup for South Africa’s efforts to stimulate economic growth.

Whilst appreciating this important achievement by the African National Congress led government, it is critical these funds be used strategically to boost agriculture, manufacturing and other job intensive sectors with great export and growth potential.  They should be used to support expanding export opportunities for South African goods, investments in the economy’s industrial capacity, infrastructure and clean energy.

They should be utilised to boost Proudly South African companies with a commitment to hiring local workers, supporting emerging businesses, and procuring and producing locally produced goods.  They must not be used to import cheap products into South Africa.  Priority should be given to companies who embrace Worker or Employee Shareholder Ownership Programmes (ESOPs).

It is equally important that the Department ensure full transparency with regard to how the financing is spent to prevent any space for corruption. 

Issued by COSATU

Matthew Parks (COSATU Parliamentary Coordinator)
Mobile: 082 785 0687
Email: matthew@cosatu.org.za